DB:CNH

Stock Analysis Report

Executive Summary

CNA Financial Corporation provides commercial property and casualty insurance products primarily in the United States.

Snowflake

Fundamentals

Established dividend payer with adequate balance sheet.


Similar Companies

Share Price & News

How has CNA Financial's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.9%

DB:CNH

-0.7%

DE Insurance

-1.0%

DE Market


1 Year Return

7.0%

DB:CNH

20.9%

DE Insurance

-6.2%

DE Market

CNH underperformed the Insurance industry which returned 20.6% over the past year.

CNH outperformed the Market in Germany which returned -6.7% over the past year.


Share holder returns

CNHIndustryMarket
7 Day0.9%-0.7%-1.0%
30 Day2.8%3.8%2.1%
90 Day9.8%3.4%-1.8%
1 Year15.4%7.0%26.1%20.9%-3.3%-6.2%
3 Year86.3%51.0%82.9%60.9%20.9%10.4%
5 Year114.0%46.5%103.9%63.3%30.9%12.6%

Price Volatility Vs. Market

How volatile is CNA Financial's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is CNA Financial undervalued based on future cash flows and its price relative to the stock market?

26%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

CNA Financial's share price is below the future cash flow value, and at a moderate discount (> 20%).

CNA Financial's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

CNA Financial is overvalued based on earnings compared to the DE Insurance industry average.

CNA Financial is good value based on earnings compared to the Germany market.


Price Based on Expected Growth

CNA Financial is poor value based on expected growth next year.


Price Based on Value of Assets

CNA Financial is overvalued based on assets compared to the DE Insurance industry average.


Next Steps

Future Growth

How is CNA Financial expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

11.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if CNA Financial is high growth as no revenue estimate data is available.

CNA Financial's earnings are expected to grow by 11.1% yearly, however this is not considered high growth (20% yearly).

Unable to compare CNA Financial's revenue growth to the Germany market average as no estimate data is available.

CNA Financial's earnings growth is positive but not above the Germany market average.

CNA Financial's earnings growth is expected to exceed the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if CNA Financial will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has CNA Financial performed over the past 5 years?

3.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

CNA Financial's year on year earnings growth rate has been positive over the past 5 years.

CNA Financial's 1-year earnings growth is negative, it can't be compared to the 5-year average.

CNA Financial's 1-year earnings growth is negative, it can't be compared to the DE Insurance industry average.


Return on Equity

CNA Financial has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

CNA Financial used its assets more efficiently than the DE Insurance industry average last year based on Return on Assets.


Return on Capital Employed

CNA Financial has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is CNA Financial's financial position?


Financial Position Analysis

CNA Financial's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

CNA Financial's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

CNA Financial's level of debt (23.4%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (24.7% vs 23.4% today).

Debt is well covered by operating cash flow (48.3%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 8.6x coverage).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 3.3x debt.


Next Steps

Dividend

What is CNA Financial's current dividend yield, its reliability and sustainability?

6.46%

Expected Dividend Yield


Dividend Yield and Payments Analysis

CNA Financial's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.48%).

CNA Financial's dividend is above the markets top 25% of dividend payers in Germany (3.85%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2.4x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.4x coverage).


Next Steps

Management

What is the CEO of CNA Financial's salary, the management and board of directors tenure and is there insider trading?

2.3yrs

Average management tenure


CEO

Dino Robusto (61yo)

2.7yrs

Tenure

US$10,109,176

Compensation

Mr. Dino Ennio Robusto has been the Chairman of the Board and Chief Executive Officer at CNA Financial Corporation since November 21, 2016. Mr. Robusto served as Executive Vice President of the Group and C ...


CEO Compensation Analysis

Dino's remuneration is higher than average for companies of similar size in Germany.

Dino's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

2.3yrs

Average Tenure

54yo

Average Age

The tenure for the CNA Financial management team is about average.


Board Age and Tenure

7.5yrs

Average Tenure

64yo

Average Age

The tenure for the CNA Financial board of directors is about average.


Insider Trading

CNA Financial individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Sell€44,46813 May 19
Dino Robusto
EntityIndividual
Role
Chairman of the Board & CEO
Chairman of the Board
Shares1,094
Max Price€40.65
Sell€291,46801 May 19
Andrew Pinkes
EntityIndividual
Shares7,132
Max Price€40.87

Ownership Breakdown


Management Team

  • Dino Robusto (61yo)

    Chairman of the Board & CEO

    • Tenure: 2.7yrs
    • Compensation: $10.11m
  • Kevin Leidwinger (55yo)

    President & COO of Commercial for CNA Insurance Lines

    • Compensation: $3.01m
  • Ray Oral

    Chief Information Officer

    • Tenure: 9.8yrs
  • Amy Adams

    Senior Vice President of Investments & Treasury

    • Tenure: 4.7yrs
  • Garrett Williams

    Senior VP & Chief Compliance Officer

    • Tenure: 1.1yrs
  • Bahr Omidfar

    Senior VP & CTO

    • Tenure: 1.4yrs
  • Jose Gonzalez

    Executive VP & General Counsel

  • Doug Worman (51yo)

    Executive VP & Chief Underwriting Officer for CNA Insurance

    • Tenure: 2.3yrs
    • Compensation: $3.39m
  • Kevin Smith (54yo)

    President & COO of Specialty for CNA Insurance

    • Tenure: 2.2yrs
    • Compensation: $2.96m
  • James Anderson (46yo)

    Executive VP & CFO

    • Tenure: 0.9yrs
    • Compensation: $1.81m

Board Members

  • Kenneth Siegel (62yo)

    Senior VP & Director

    • Tenure: 0.3yrs
  • Dino Robusto (61yo)

    Chairman of the Board & CEO

    • Tenure: 2.7yrs
    • Compensation: $10.11m
  • Mike Bless (54yo)

    Director

    • Tenure: 1.8yrs
    • Compensation: $150.00k
  • James Tisch (66yo)

    Director

    • Tenure: 34.2yrs
    • Compensation: $9.67k
  • Jose Montemayor (68yo)

    Director

    • Tenure: 12.4yrs
    • Compensation: $170.00k
  • Don Randel (78yo)

    Director

    • Tenure: 17.2yrs
    • Compensation: $150.00k
  • Ben Tisch (36yo)

    VP & Director

    • Tenure: 1.3yrs
  • Marvin Zonis (82yo)

    Director

    • Tenure: 26.2yrs
    • Compensation: $155.00k
  • Andrew Tisch (70yo)

    Director

    • Tenure: 13.4yrs
    • Compensation: $9.67k
  • André Rice (59yo)

    Director

    • Tenure: 2.3yrs
    • Compensation: $150.00k

Company Information

CNA Financial Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: CNA Financial Corporation
  • Ticker: CNH
  • Exchange: DB
  • Founded: 1853
  • Industry: property and casualty insurance
  • Sector: insurance
  • Market Cap: US$13.167b
  • Listing Market Cap: US$11.698b
  • Shares outstanding: 271.54m
  • Website: Click here

Number of Employees


Location

  • CNA Financial Corporation
  • 151 North Franklin Street
  • Chicago
  • Illinois
  • 60606
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CNANYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1969
CNHDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1969

Biography

CNA Financial Corporation provides commercial property and casualty insurance products primarily in the United States. It offers professional liability coverages and risk management services to various pro ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/07/15 21:32
End of Day Share Price2019/07/15 00:00
Earnings2019/03/31
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.